With over 30% of the workforce laid off, 80% of firms recording a drop in revenue, 25% expecting lower sales in the future, and 10% already noting they might not survive the pandemic, the results of a LINKS COVID-19 Northern Nigeria Business Impact Survey on businesses showed that it is very likely that Northern Nigeria will record a high unemployment rate in 2020, which risks reducing government revenue significantly.
The online survey used questionnaires to target formal and informal, micro, small, medium, and large-scale businesses across all sectors of the Northern Nigeria economy in Kano, Kaduna and Jigawa States to understand how businesses have been affected by COVID-19. The survey covered over 600 companies in May 2020.
Other key findings included:
- Nearly all businesses (even agricultural ones) reporting high job losses. Of firms reporting lay-offs, 45% were in services and 39% in agriculture
- Over 80% of firms having reductions in revenue with almost 60% of firms reporting drops in revenue of 50%
- 20% businesses reporting COVID–19 has resulted in lost investment for growth
LINKS is working with government and businesses to push for new investment that creates new jobs and supports existing businesses to innovate, survive and grow.